HTC's Design Future

From smartphones to tablets, Wi-Fi to 3G/4G: I cover telecom & mobile.

Taiwanese cellphone maker HTC is reinventing itself again.

Three years ago, HTC shifted from an anonymous contract manufacturer to a smart-phone shop, thanks to some eye-catching Windows Mobile devices. In Sept. 2008, it became the first handset maker to release a phone that ran on
Google's
Android mobile operating system. Now it is tweaking its image yet again to be more "people-centric," says Claude Zellweger.

Zellweger is in a good position to know. As a partner at the San Francisco design firm One & Co, he advises HTC on matters ranging from industrial design to marketing. The relationship is an unusual one. After hiring One & Co for a consulting project in 2006, HTC acquired the firm in December 2008. Though now a wholly owned subsidiary, One & Co continues to operate as an independent consultancy. (See "HTC Bets On Design.")

HTC's partnership with One & Co points up the importance of design in the smart-phone market. The pairing has helped HTC compete with powerhouse brands like
Apple
and Samsung. HTC is currently the No. 4 smart-phone maker globally, behind
Nokia
,
Research In Motion
and Apple, according to Gartner.

Zellweger says the latest changes should further raise HTC's profile. "We're carving out a strong design language that's becoming recognizable," he says. "Companies will want to show the HTC logo [on their phones]."

HTC's new, people-centric philosophy is evident in its new Android products. The Hero, which debuted in June and will be released by
Sprint Nextel
in October, features livelier colors--white, pink and a "warm gray"--compared to previous HTC handsets, and custom software called "Sense" that ties social media updates from sites like Twitter to phone contacts. The Tattoo, HTC's newest Android phone, which will launch in Europe in October, sports the same software and customizable covers.

In a research note, Avi Greengart, Current Analysis' research director for consumer devices, called the Sense software "a major step in the right direction." He added: "As [HTC] moves beyond its roots as an original design manufacturer, it needs to establish not only a brand, but also a brand identity."

Says Zellweger: "We're trying to strike a more fun note in software and hardware. These phones are less business-oriented and that should be reflected in their materials, forms and colors."

Part of being people-centric is being easy to use. Zellweger says One & Co is pushing HTC to make its designs and user software more consistent. "HTC had more of a shotgun approach before," he says. Once things are streamlined, loyal HTC users should have a "sense of coming home again" when they upgrade to new HTC phones, he adds.

Consistency is most important within a particular product line. HTC has two: Google Android and Windows Mobile phones. Its Windows Mobile devices come in dark, glossy finishes to appeal to a professional audience, while its Android phones often sport a playful "chin" or angled base. Those characteristics will stay separate, says Zellweger, meaning no chins for HTC Windows Mobile phones. (HTC's newer Android phones like Sprint's version of the Hero and the Tattoo have shed the chin as well, but Zellweger says the distinctive feature may return in future devices.)

One & Co is also focused on keeping HTC's phones looking high-end. "People who want a certain value can buy an LG or Samsung phone," says Zellweger. "We have to make sure our design is strong enough to justify [a higher] price tag." Lately, that has meant small upgrades like making the glass screen on a phone fit even more snugly into its case; or, in the case of the Hero, using Teflon paint for the white cover because it yielded a matte, scratch-resistant finish.

Ideas can flow in either direction--from HTC to One & Co or vice versa. Once an assignment is identified, One & Co gathers its 18 employees for a brainstorming meeting. A small team then fleshes out the ideas through hand sketches, 2-D computer drawings and, finally, plastic models. Representatives from One & Co visit HTC's Taiwan headquarters at least once a month.

To keep their ideas fresh, One & Co designers rotate between HTC projects and jobs for other companies, including
Microsoft
, Kodak,
Nike
and European furniture makers. "Phones are about capturing what's coming tomorrow, while furniture is about longevity," says Zellweger. "It's good to have that balance in your head." Some materials migrate between projects, such as a plastic mesh that found use as a lamp cover, a bracelet and the speaker cover in the Hero.

One & Co's sphere extends to marketing, which will ramp later this year with HTC's first national consumer campaign. One & Co won't design the actual ads, but it did mock up samples to convey the desired tone, which Zellweger describes as "more personality-driven."

HTC plans to launch some new gadgets in early October. Spokesman Keith Nowak says rumors of a netbook are off base, but gadget blogs have uncovered images of some unreleased phones, including a Windows Mobile 6.5 device with a large touch screen.

Given the long lead times in the mobile industry, One & Co's full influence won't be evident until next year. (The Hero and the Tattoo incorporated One & Co's recommendations, but were ultimately created in Taiwan, where HTC still employs a design team.) Consumers can expect "new, exciting form factors" soon, Zellweger says. "We're not scared to go places people haven't gone yet."